What does cooling off mean?
Cooling-off periods apply to cars bought from licensed motor car traders.
You have three clear days after you sign a contract to change your mind. This is your cooling-off period.
A licensed motor car trader must give you the Licensed motor car trader form 4 (Cooling-off rights & waiver) (PDF, 66KB), before you sign a sale agreement. This form sets out your rights and explains a waiver.
A licensed motor car trader is not obliged to order a vehicle from the manufacturer before the cooling-off period expires. You should therefore clarify with the licensed motor car trader when you can expect to receive it.
Changing your mind
If you change your mind and terminate the sale agreement within the cooling-off period, the licensed motor car trader may keep $400 or two per cent of the purchase price (whichever is greater).
If you change your mind about a sale that takes place off-site, for example, if the licensed motor car trader brings the vehicle to your home or place of work, the seller may keep $100 or one per cent of the purchase price (whichever is greater).
Waiving your cooling-off rights
You should only sign the waiver form if the car is available for immediate delivery and you wish to collect it that day (for example, from floor stock of current models).
Remember, when you sign this waiver form, you forgo your right to the three-day cooling-off period.
Last updated: 20/05/2013